just On Call - Coca-Cola Enterprises' chief backs FY volume growth despite Q2 concern
CCE released its Q1 results yesterday
The head of Coca-Cola Enterprises (CCE) has said pressure on volumes growth in Europe will continue through the first half of the year before stabilising.
During an analysts' conference call yesterday (25 April), John Brock, CCE's chief executive, said that a “more moderate” pricing strategy has help the company post a 1% volumes growth in the UK in Q1 results. Despite concerns over the rest of Europe, Brock remained optimistic over hitting full-year targets.
“The second quarter will be a challenging quarter for a whole variety of reasons, but we anticipate volume growth for the complete 2013 year,” he said.
CCE's European head, Hubert Patricot, said a problem in France with an unnamed customer over getting products on shelves had contributed to continental Europe's 3.5% volumes drop. However, he said the problem is now solved, without giving details, and plans are in place to boost volumes.
In first-quarter results, released yesterday, CCE saw net profits tumble by 44% to US$61m. The company also said it will pass on an option to buy The Coca-Cola Co's German bottling operations, but in the call Brock suggested the deal could still complete at a later date.
“The future is entirely open,” Brock said. “And frankly, whether there's some other potential acquisition opportunity out there or whether there's some logic in rediscussing Germany, everything is on the table.”
The option, part of Coca-Cola's takeover of CCE's operations in North America in 2010, expires on 25 May.
Coca-Cola Enterprises Ltd is focused on strengthening consumer awareness of its sustainable recycling efforts, as well as its product choice, in the forecast period. The company has invested heavily i...
With increasing pressures on personal finances, UK consumers continued to look for new ways in which to save money. One aspect of this is the increased trend of cooking and socialising at home. Produc...
In 2012, a key shift in consumer interest was towards chilled products. Consumers increasingly looked to the fridge areas in supermarkets/hypermarkets for fruit/vegetable juice. As a result categories...
- The End of the Road for International Beer Brands?
- Comment - Another One Bites Bacardi's Dust
- Pernod Ricard's FY Performance by Region, Brand
- Allegro: The shape of things to come at Pernod?
- US craft vodka puts squeeze on Pernod's Absolut
- Mast-Jägermeister targets UK off-trade boost
- Pernod bemoans tough FY as sales, profits drop
- ASA bans Jägermeister TV ad
- Bacardi announces CFO switch
- SABMiller exec to become CFO at Beam Suntory